Balance Sheet 2020 2019 Assets: Cash Accounts Receivable (net) Inventory Long-lived assets Less: Accumulated depreciation Total assets $10,000 $ 6,000 6,000 1,500 8,000 10,000 12,000 11,000 (4.000 (2.000) $32.000 $26.500 $ 5,000 $ 6,000 1,000 2,000 10,000 10,000 Liabilities and Stockholders' Equity: Accounts payable Deferred revenues Long-term note payable Less: Discount on note payable Common stock Retained earnings Total liabilities and stockholders' equity (800) 12,000 4.800 $32.000 (1,000) 6,000 3.500 $26.500 Income Statement For the year ended December 31, 2020 Revenues $42,000 Cost of goods sold Depreciation expense (24,000) (2,000) Interest expense Bad debt expense Other expense (including income taxes) Net income (3,000) (2,000) (9,000) $ 2.000 Calculate the following ratios and explain what they mean to the company: 1. Current ratio 2. Quick ratio 3. A/R turnover 4. Collection ratio 5. Inventory turnover 6. Average number of days inventory is in stock 7. debt-to-equity ratio 8. Profit margin 9. Asset turnover 10. Return on assets